The Rise of Online Insurance Submissions
Some habits are hard to break, including the traditional method for insurance agencies to submit new insurance applications. Agents have traditionally completed Acord apps and supplemental forms which are sent via email or uploaded as PDFs to a carrier’s or MGA’s website for review. But in recent years with the advent of insurtechs that have revolutionized how insurance is sold and written, along with increased pressure for new products to address emerging exposures, online insurance submissions have gained tremendous traction.
Some products – like personal lines and small commercial lines (BOPs, standard General Liability, and low-hazard industry sectors) are ideal for tech-enabled online submissions in which an agency fills out the app, submits it to the MGA, and sees the policy rated, quoted, and bound in minutes. In some cases, like with auto and homeowners policies, some data (like vehicle and driver information) is available from a third-party vendor and automatically populated once the client’s basic information is input.
Other accounts that are more complex in nature may involve a combination of automation and human underwriting whereby an app is completed and sent to the underwriter to manually review along with additional information (loss runs, etc.) to determine eligibility, rate the policy, and provide a quote.
Advantages of Online Submissions
- Streamlines the entire application process for agencies: Your staff has more time to go after new business opportunities, as they are spending less time getting and waiting for quotes.
- Increases agency responsiveness: You’re able to meet the needs of today’s demanding consumer who wants or needs an immediate quote. Too often, you’ll get a call, let’s say from a construction client, needing General Liability insurance to bid on a project. The ability to submit an online app and get a quick turnaround is priceless.
- Saves money: With more accurate online underwriting driven by big data, AI, and predictive analytics, insurers can save money, which can be passed on to the consumer.
- Reduces attrition rates as a result of happier clients: You’re not only able to retain more clients because of your ability to get them covered quickly, but you’ll also get more referrals and leads into the pipeline.
- Improves overall profitability: Less time spent on manual submissions means more time with client-facing interactions.
- Enhances speed to market: MGAs and carriers that are able to develop programs or products and pair them with an online submission platform or portal can get the agency distribution system selling and writing business in no time.
- Enables more business submissions to MGAs/carriers: Strengthening your partnerships with MGAs and carriers that provide the ability to submit business online is a win-win proposition all around, particularly as you build your book of business in specific industry sectors.
At ISC, we leverage data, analytics, and technology to improve how each of our programs is underwritten and operated. Some of our programs are automated wherein technology is essentially performing the underwriting, while others employ a hybrid version or traditional underwriting supported by credible data and analytics for underwriters to determine risk eligibility and policy rates. Our goal is to streamline the submission process for agency partners and help them meet the needs of their clients.